The classical gold standard — the ability of people to exchange the currency for gold coins, or gold coins for their currency — was the monetary system of choice for centuries, and, in its precursor, millennia. Since 1971, the world has been on a World Dollar Standard.

That means, as savant Jim Grant wittily observed on the Charlie Rose Show, that for the first time in history we rely upon “faith-based” money — money based on nothing but “the full faith and credit of the United States.”

This world dollar standard brings with it many infirmities. These infirmities, and their consequences, are social, political, and economic.